Tuesday, 21 May 2013

Thriving Myanmar-Thai border trade faces warehouse shortage

Myawady checkpoint on Myanmar-Thailand border is facing warehouse shortage and cannot adequately provide temporary storage for the imported goods from Thailand as the border trade is booming too quickly, local merchants said.


Import from Thailand through Myawady checkpoint has been increasing as the route offer shorter transit into Myanmar.

Traders including those newly arrived from Yangon and Mandalay cities have crowded to trade through Myawady checkpoint. Those merchants who imported from Thailand through Kawthaung and Yanaung border checkpoints have also returned to Myawady since it opened again after a 17-month temporary closure.

The warehouse demand for their goods rose significantly. Meanwhile, warehouse capacity at Myawady meets only export’s demands, but it is far below the requirements of importers who trade through the checkpoint, a merchant explained.

Traders are transferring goods directly from truck to truck, as there is no space to store goods temporarily. “The arrangement usually goes wrong when we find difficulties to hire trucks at our sides. It’s really troublesome that we cannot hire warehouse. We also cannot afford to buy a warehouse as it’s so expensive. If the government allows more land for warehouse, about 30 companies will buy,” a local trader said.

“Myawady border region was a restive area and the checkpoint was on and off. As no prediction could be made, the traders did not do any systematic preparation for their business. Now they are facing warehouse problems,” an importer based in Myawady said.

An official from the checkpoint encouraged the merchants to behave like a professional who is decent and ethical in their business, without just looking at the profits they make.

source: Eleven Myanmar

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